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three divisions instead of five

$7 million saved in City of Red Deer restructuring

Sep 27, 2020 | 10:55 AM

The City of Red Deer has instituted a revamped organizational structure that, in the end, will save the municipality around $7 million.

Effective Oct. 1, The City will reduce the number of divisions reporting to the City Manager from five to three.

These changes were endorsed by city council during an in-camera session on Sept. 14, with another report on the matter coming to council Sept. 28.

“Like those in the private, not-for-profit and charitable sectors, The City of Red Deer is facing unprecedented financial challenges stemming from the economic slowdown coupled with the impact of COVID-19,” said City Manager Allan Seabrooke. “This restructuring will help us reduce our operating budget by an estimated $7 million in 2021, all while continuing to deliver the core programs and services our citizens have come to know and expect.”

The three divisions are Community Services, Corporate and Employee Services, and Development and Protective Services. They will be headed by general managers, and some current functions will shift under the new structure.

Part of the restructuring involved a voluntary retirement program, which 52 City employees took advantage of.

Seabrooke notes that 75 full-time positions, both exempt and union, were eliminated.

“These retirements minimized the number of staffing reductions we had to consider. Where voluntary retirements involve a position that must be filled or replaced, an equivalent position will remain unfilled as a mechanism to reduce the overall staffing complement going into the 2021/2022 Budget,” said Seabrooke.

In the spring, the City terminated 165 casual employees, and later another 150 received temporary work interruptions.

“While difficult, these decisions are necessary as we work to reposition our city for stability in the coming years,” said Seabrooke. “However, things like this are never easy, and despite the changes being made, I want to acknowledge the hard work of our invaluable staff throughout these challenging times as we continue to work together to provide sustainable municipal services for the citizens of Red Deer.”